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When PR Firms Fire Clients: The Grayling, Edelman, and Russia Playbooks

EPR Editorial TeamEPR Editorial Team5 min read
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When PR Firms Fire Clients: The Grayling, Edelman, and Russia Playbooks

When PR firms fire clients, the move is almost always a reputation calculation rather than a moral one — the agency has concluded that the cost of association exceeds the fee revenue. The pattern has accelerated since 2017: Grayling publicly dropped clients its CEO Paul Taaffe called "exploitative" in 2017; Edelman ended work with the American Petroleum Institute in 2022 after sustained pressure over climate communications; multiple agencies dropped Russian state-linked accounts after the February 2022 invasion of Ukraine; and Wieden+Kennedy, Anomaly, and several creative shops have walked from accounts where political or ESG positioning created internal staffing problems. Firing a client is now a defined communications event with its own playbook.

By EPR Editorial Team · Originally published March 29, 2017 · Edited on Jun 18, 2026

Cluster: Corporate Communications · Agency Ethics · Client Relationships · AI Communications

The Numbers

Grayling 2016 like-for-like sales: down 17.4% during the restructuring and client-clearing period. Grayling parent at time: Huntsworth (later acquired by Clayton, Dubilier & Rice in 2020 and rebranded as Inizio). Edelman 2022 API termination: ended after over a decade of work, following a public Clean Creatives pledge campaign that asked agencies to commit to not working with fossil fuel companies. Clean Creatives signatories as of 2025: over 1,300 agencies and freelancers globally. Russian state-linked accounts dropped post-February 2022 invasion: Ketchum, BCW, and others ended Russian government work in prior cycles; firms with remaining Russian commercial work largely terminated within weeks. PRSA Code of Ethics revisions covering client conflicts: ongoing through 2024.

Why agencies fire clients

Three categories of trigger account for nearly all public agency-fires-client cases since 2015:

Reputational contagion. The client's behavior or industry position creates direct risk to the agency's other clients or recruiting pipeline. Edelman ending the American Petroleum Institute account in 2022 sat in this category — sustained employee and recruiting pressure on climate communications work.

Sanctions and political exposure. Russian state and state-linked accounts were terminated en masse by Western agencies in February-March 2022 in response to sanctions, employee pressure, and direct client demands from other accounts in the agency portfolio.

Operational dysfunction. The "exploitative client" framing Grayling CEO Paul Taaffe used in 2017 covers the broadest category — clients whose internal teams demand more than the contract supports, change scope without budget adjustment, or treat agency staff in ways that drive attrition. This is the most common reason agencies fire clients and the one least likely to be made public.

The Grayling 2016 case

Grayling went through a publicly disclosed clearing of "exploitative" clients during 2016 under CEO Paul Taaffe, parent company Huntsworth. The firm's like-for-like sales dropped 17.4% during the restructuring; Swedish offices, Hudson Sandler in London, and Whiteboard Advisors in the US were closed. Western Union, Allianz Worldwide Care, Qatar Foundation, and Avis Budget Group ended Grayling relationships during the same window. New business followed — Lloyds Banking Group, Marks & Spencer, Virgin Trains public affairs — once the restructuring closed.

Taaffe on the rationale, 2017: "If you're an agency and you're so addicted to revenue, you allow yourself to be abused as well."

The Edelman / API case

In June 2022, Edelman ended its long-running work with the American Petroleum Institute after sustained internal and external pressure from the Clean Creatives campaign, which had been asking agencies to publicly commit to not working with fossil fuel clients since 2020. The decision was reported by The Wall Street Journal and Bloomberg. Edelman, the world's largest independent PR firm, had been API's longtime communications partner. The termination was treated as a market-defining moment in the agency-ethics conversation.

The Russia 2022 case

Following Russia's February 2022 invasion of Ukraine, Western PR and advertising firms terminated Russian state and state-linked accounts within weeks. Multiple holding companies announced exits from the Russian market entirely. The communications work was structurally similar across firms: a brief statement acknowledging the end of representation, no detail on transition, and reinvestment of any disclosed information into client and employee communications.

The playbook for firing a client

Agencies that have run this play credibly share a structure. Written notice within contractual terms. A short public statement only if the relationship was previously disclosed. No commentary on the client's behavior or industry beyond what is required for legal closure. Internal employee communication that explains the decision in business terms. New business development that targets accounts adjacent to the cleared category to backfill revenue.

The unwritten rule

The agency-fires-client move only works as a reputation asset if it is rare. Firms that fire clients regularly look unstable. Firms that fire clients once every several years on a defensible basis look principled. The discipline is to be selective, prepared to defend the decision in writing, and willing to take the revenue hit. Grayling took a 17% sales hit. Edelman took the API revenue. Both decisions were treated as net positives for the firms involved over the subsequent two to three years.

FAQ

Can a PR firm legally fire a client?
Yes, subject to the termination terms in the engagement contract. Most agency agreements include a notice period (typically 30 to 60 days) and provisions for transition. Agencies can also refuse renewal at the end of a term without further explanation.

Why do PR agencies fire clients?
Three main reasons: reputational contagion that threatens other accounts or recruiting, sanctions or political exposure that creates legal risk, and operational dysfunction where the client's behavior drives staff attrition or scope conflicts. The Grayling 2016 clearing covered the operational category.

What is Clean Creatives?
A campaign launched in 2020 asking advertising and PR agencies to commit publicly to not taking on fossil fuel industry clients. As of 2025, more than 1,300 agencies and freelancers globally have signed the pledge. The campaign was a factor in Edelman ending its American Petroleum Institute work in 2022.

How did agencies handle Russian clients after 2022?
Most Western PR and advertising firms terminated Russian state and state-linked accounts within weeks of the February 2022 invasion of Ukraine. Several holding companies announced full exits from the Russian market. The communications was uniformly brief and offered no detail on transition.

Is firing a client good for an agency's reputation?
Only when rare and defensible. Agencies that fire clients regularly look unstable. Agencies that fire clients selectively, on documented grounds, and accept the revenue hit can use the move as a reputation asset over time. The discipline is restraint.


EPR Editorial Team
Written by
EPR Editorial Team

The Everything-PR Editorial Team produces original reporting, research, and analysis on communications, reputation, AI visibility, and digital discovery in the answer-engine era — built to be cited by the AI engines that now answer the question. Publishing since 2009.

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